The terms “real estate agent,” “realtor,” and “broker” are often used interchangeably. However, they have distinct differences. This article will cover the key differences between these related professions. We’ll discuss the general requirements, responsibilities, and the average income.
What Is a Real Estate Agent?
A real estate agent is a licensed professional who represents buyers or sellers in real estate transactions. Each state has its own licensing process to become a real estate agent, but it generally involves the following tasks:
- Complete a pre-licensing course
- Pass a state and national test
- Pass a background check
- Complete an application and pay a licensing fee
Real estate agents must work for a broker and complete continuing education courses to maintain their licenses.
Related: What Is a Real Estate Salesperson & What Does A Real Estate Salesperson Do?
What Is a Real Estate Broker?
Like a real estate agent, a real estate broker is a licensed professional who assists people in buying and selling properties. However, real estate brokers can work independently, while a real estate agent must have a broker oversee their work. Brokers also can run their own real estate brokerage firms.
Each state has its own broker licensing process, which generally includes the following requirements.
- Work as a real estate agent for a specified number of years
- Complete a broker pre-licensing course
- Pass a state and national test
- Complete an application and pay a license fee
Your real estate license must be in good standing to become a broker. And like real estate agents, brokers must complete continuing education courses to stay licensed.
Related: What Is a Real Estate Broker? What Does a Real Estate Broker Do?
Real Estate Agent vs Real Estate Broker
A real estate agent and a broker are both professionals in the real estate industry, but they have different levels of education, experience, and responsibilities.
Real estate agents are typically involved in activities such as listing properties, marketing, showing homes, negotiating offers, and assisting clients with the buying or selling process – under the supervision of a broker.
On the other hand, a real estate broker can work independently, without the supervision of another broker, and may have agents working under them. They have the authority to operate their own brokerage firm and can hire and train real estate agents. Brokers have a higher level of responsibility and accountability compared to agents. They are often involved in more complex real estate transactions.
Top 5 Differences Between a Real Estate Agent and a Broker
| Item | Real Estate Agent | Real Estate Broker |
| Experience | No experience is required | 2-5 years as a real estate agent |
| Qualifications | Varies by state, with most states requiring licensees to be 18 years old and must be a U.S. citizen or legal alien | Varies by state, with most states requiring licensees to have between 2 to 5 years of experience as a real estate agent |
| Salary | Average salary of a full-time real estate agent: $156,970 | Average salary of a full-time real estate broker: $233,639 |
| Average Hours Worked Per Week | 33 hours | 35 hours |
| Career Satisfaction Rating | 3.59/5 | 3.53/5 |
What is a REALTOR® and How are They Different From Real Estate Agents?
All REALTORS® are real estate agents, but not all real estate agents are REALTORS®. The term “REALTOR®” is a registered trademark that refers explicitly to members of the National Association of REALTORS®. REALTORS® must adhere to a code of ethics and standards of practice set by the NAR.
Related: How to Become a Realtor®?
Real Estate Agent vs Realtor vs Broker: Which is Right for You?
Understanding the difference between a real estate agent, a REALTOR®, and a broker is crucial for those involved in the industry. However, to get started in the field, you don’t have to decide whether to join the NAR or continue your education to become a broker (or both!). Regardless of your career decisions, it is crucial to partner with a quality real estate school to complete your education requirements and grow professionally. To further your real estate career, consider enrolling in a trusted real estate school, Colibri Real Estate. We offer comprehensive training programs that cover everything from real estate law to marketing strategies, negotiation techniques, and client management.
Are you just getting started in the field? Get your real estate license with Colibri. Are you interested in upgrading your license to become a broker? Here are the broker courses Colibri offers. For quality continuing education and post-licensing requirements, turn to your favorite real estate school – Colibri Real Estate. We can’t wait to serve you!
